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FRONT OF THE QUEUE

Canada first in line for post-Brexit trade deal with Britain after EU passes long-awaited CETA agreement

Liam Fox and his Canadian counterpart agreed it would provide platform for any bespoke UK deal after we leave EU

CANADA has potentially moved to the front of the queue for a post-Brexit trade deal with Britain after the EU passed the long-awaited CETA agreement.

MEPs meeting in Strasbourg approved the pact with 408 votes in favour, 254 against and 33 abstentions, allowing for it to start coming into force as early as next month.

 Canada could be the first to sign a post-Brexit trade deal after the CETA agreement finally passed
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Canada could be the first to sign a post-Brexit trade deal after the CETA agreement finally passedCredit: Getty Images

The EU and Canada formally signed the deal in October after seven years of tough talks, overcoming last-minute resistance from a small Belgian region that blocked its national government from approving the accord.

Protests marked the vote with anti-globalisation activists dressed in surgical masks dramatically blocking entrance to the parliament building before being dragged off by riot police.

But following the approval by parliament, Canadian Prime Minister Justin Trudeau will address MEPs in person tomorrow.

 The long-awaited deal was agreed after seven years of negotiations
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The long-awaited deal was agreed after seven years of negotiationsCredit: Reuters

The deal, known as Ceta, is seen by EU leaders as a victory for an imperilled global trade system that is under threat from US President Donald Trump who opposes international trade deals.

Last month Liam Fox, the trade secretary, visited his Canadian counterpart in Montreal where they agreed it would provide a platform for any bespoke UK deal after we leave the EU.

After the meeting François-Philippe Champagne said it would mean negotiations with the UK had a head start, adding: "We start with a strong base because we already have Ceta.”

Trade specialists seem to agree the deal, which eliminates 98% of tariffs between the EU and Canada, will enable Britain to fast-track negotiations with Mr Trudeau.

 Liam Fox and his counterpart agreed CETA could form the basis of a post-Brexit deal
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Liam Fox and his counterpart agreed CETA could form the basis of a post-Brexit dealCredit: Getty Images

MEPs lined up to laud the deal after it was passed this morning, with Manfred Weber - head of the parliament's biggest bloc - saying: "CETA is the best trade agreement the EU has ever concluded.”

The agreement also harmonises regulations on matters such as health and the environment, a major concern for activists.

But a major flashpoint for opponents is the proposal to set up special courts to settle disputes between investors and national authorities that is central to the deal.

Donald Trump is also widely expected to drop a similar proposed deal with the EU known as the Transatlantic Trade and Investment Partnership - or TTIP – after vowing to put "America first".

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